North Shore real estate now 'anyone's game,' expert says

STATEN ISLAND, N.Y. -- John Salis, a Stapleton-based developer, has been in the business of flipping homes -- particularly on the North Shore of Staten Island -- for more than 20 years.

But now he's being put out of business in that part of the Island by "novice home flippers," as well as developers from other boroughs who want to get in on the ground floor of the North Shore real estate boom.

Due to the dwindling number of "fixer-uppers" for the growing numbers who want to buy and renovate them, prices of properties that are prime for home flipping have doubled in the last five years, Salis said.

And this is driving up home prices and values in areas of Stapleton, New Brighton, Tompkinsville and St. George that were not very desirable in the past.

"There is a lot of interest from out-of-towners in multi-family dwellings, anything near the ferry, anything near the St. George or Stapleton area," said Salis.

"The word is out. Everyone knows the potential coming to Staten Island with all the development happening on the waterfront. ...They are coming here because there isn't anything else in Jersey City, Brooklyn and Queens, for them to renovate," he added.

HOLDING ONTO AN INVESTMENT

Because prices are so high, Salis said homeowners who want to make a long-term investment in the area, "do the work themselves" and live in the home for an extended period -- giving them an edge if they aren't looking for a speedy return on their money.

"The people who are coming in want to get their hands dirty, and get the sweat and equity out of the house themselves. There's not much you can pull out of a house right now because the asking prices are so high. ...There's not enough profit to be made as a developer. ...Today, it's anyone's game," said Salis, who also is owner of Tech Box, a space he renovated in Stapleton for a co-working area.

OTHER VENTURES

But all the competition hasn't stopped Salis from working on a few good deals this year. Recently, he's bought a few old homes on the North Shore, renovated them and turned them around for a profit.

"After these are done, I will have to go off the Island. Because of all the interest in the North Shore I'm working on projects in Jersey now," he said.

(EDITOR'S NOTE: This is part of a continuing in-depth series on North Shore real estate as large-scale development begins to take shape along the waterfront.)